JPM Coin and USDC: Two Different Claims on Digital Dollars
Edited by Steinar Vigdel Kolnes, Editor, Oslo
JPM Coin represents a bank deposit, while USDC is a stablecoin backed by issuer-held reserves—a distinction that shapes holders’ rights and redemption options.
JPM Coin and USDC both represent dollar-denominated value on blockchain infrastructure, but they use different legal and financial structures. The key distinction is what the holder has a claim on.
As a tokenized deposit, JPM Coin represents money held with JPMorgan. Its value rests on a bank deposit relationship, with access and transfers governed by the bank’s terms and supported systems.
USDC, issued by Circle, is a stablecoin backed by reserves rather than a deposit in the holder’s own bank account. Holding USDC does not confer direct ownership of those reserve assets, and direct redemption with Circle is subject to eligibility and account requirements.
Source: The Defiant
